Vehicle Transfer Fee in Punjab Revised
The Excise and Taxation Department has revised the vehicle transfer fee in Punjab, effective from July 1, 2023. The revised fee is significantly higher than the previous fee, and will apply to all types of vehicles, including motorcycles, scooters, cars, and rickshaws.
Increased Transfer Fee
The revised transfer fee is as follows:
- Motorcycles and scooters: 500 PKR (previously 150 PKR)
- Vehicles up to 1000cc or rickshaws: 2500 PKR (previously 1200 PKR)
- Vehicles 1000cc-1800cc: 5000 PKR (previously 2000 PKR)
- Vehicles above 1800cc: 10,000 PKR (previously 3000 PKR)
Increased Token Tax
The token tax for vehicles has also been revised. Private vehicles will now pay token tax based on the engine capacity (CC) of the vehicle, rather than a flat rate of Rs. 2500 per seat.
Reduced Registration Fee
The registration fee for vehicles with engine capacities ranging from 1501 to 2000 cc has been reduced from 3% to 2%.
Increased WHT
The Withholding Tax (WHT) collected by dealers in the invoice of the vehicle has also been revised. Vehicles with engine capacity over of 2001cc or above will be charged a significantly higher WHT.
- Vehicles with engine capacity of 2001 to 2500cc: 6% (Filer) or 18% (Non-Filer)
- Vehicles with engine capacity of 2501 to 3000cc: 8% (Filer) or 24% (Non-Filer)
- Vehicles with engine capacity of over 3000cc: 10% (Filer) or 30% (Non-Filer)
Impact on Motorists
The increase in vehicle transfer fee will have a significant impact on motorists, especially those who own motorcycles and rickshaws. The higher fee will make it more expensive to transfer ownership of these vehicles, and could discourage people from buying or selling them.
Conclusion
The revised vehicle transfer fee in Punjab is a significant increase from the previous fee. The higher fee will have a negative impact on motorists, especially those who own motorcycles and rickshaws.